The US Economy

The circular flow of economics includes interactions between all of the following except -

• businesses

• government

• incentives

• individuals

What does the government use taxes for?

• private goods and services

• public goods and services

• paying its own taxes

• increasing consumption

Which of the following is not a function of private financial institutions?

• make loans and charge interest

• pay taxes for individuals

• take deposits and pay interest

• keep money safe and cash checks

Technology has contributed to the global economy by -

• increasing the cost of production

• slowing the sale of goods and services

• lowering the cost of production

• eliminating goods and services

Which statement below does not describe why VA and the US trade with other nations?

• to make money off the other countries with fewer resources

• to obtain goods and services they cannot produce themselves

• to buy goods and services at a lower cost

• To create jobs

Markets in which the buying and selling of worldwide goods and services by all nations takes place is called

• Global Economy

• Free Market Economy

• Command Economy

• Mixed Economy

• inflation

• taxes

• inflation

• deposits

Financial institutions make their money primarily through

• ATM service fees

• checking account fees

• interest on loans

• stock market investments

Which of these is a household - business relationship?

• businesses pay taxes

• government hires workers

• people work as store clerks

What does the picture indicate contributes to the global flow?

• internet

• telephone

• radio

• magazines